Assignment 5: Change Management Plan
Due Week 10 and worth 300 points
In this assignment, you will combine the previous four (4) assignments into a proposal that you could present to the executive leadership and board members. You will argue the value of the change management plan to the overall success of the organization. Add to your previous submissions a plan for sustaining the change in the long run.
Write a six to ten (6-10) page paper in which you:
Section I: Organization: Describe the organization and comment on the HR change that the organization should make. Utilize effective diagnostic tools to assess the organizations ability to change. Support assertions with theoretical evidence.
- Describe the company in terms of industry, size, number of employees, and history.
- Analyze in detail the current HR practice, policy, process, or procedure that you believe should be changed.
- Formulate three (3) valid reasons for the proposed change based on current change management theories.
- Appraise the diagnostic tools that you can use to determine an organization’s readiness for change. Propose two (2) diagnostic tools which you can utilize to determine if the organization is ready for change. Defend why you believe the diagnostic tools selected are the best choice for diagnosing change in the organization.
- Using one (1) of the diagnostic tools you selected, assess the organization’s readiness for change.
- Provide results of the diagnostic analysis
- Explain the results
- Interpret whether or not the organization is ready for change. Substantiate your conclusion by referencing current change management theories.
Section II: Kotter Change Plan: Utilizing the Kotter eight (8) step method of change, create a solid change management plan for the HR initiative you identified as requiring improvement.
- Ascertain how each of the steps applies to your specific organization.
- Develop a strategy that illustrates how you would address each of the eight (8) stages of change:
- Establishing a sense of urgency
- Creating coalition
- Developing vision and strategy
- Communicating the vision
- Empowering broad-based action
- Generating short-term wins
- Consolidating gains and producing more change
- Anchoring new approaches into the culture
Section III: Resistance and Communication: Research methods of minimizing resistance to change and create plan to address resistance within your change management initiative.
- Diagnose the reasons for resistance to change.
- Interpret the potential causes of resistance in the organization. Identify and describe three (3) potential causes of resistance to your change plan. Identify and describe three (3) potential sources of resistance to your change plan.
- Create a plan for minimizing possible resistance to your change management plan.
- Elaborate on the relationship between resistance to change and communication.
- Evaluate three (3) communication strategies.
- Recommend one (1) communication strategy that would be applicable to your organization. Diagnose why this communication strategy is best for your organization.
- Create a solid communication plan for your change initiative.
Section IV: Sustaining Change: Research methods of sustaining change in organizations and create a plan for sustaining proposed change.
- Recommend two (2) strategies for sustaining change:
- Diagnose the two (2) theories from a scholarly perspective
- Evaluate why the strategies selected are viable for the organization
Section V: Presentation: Create a visually appealing and informative presentation espousing the importance of the change management plan you developed.
- Create a ten to fifteen (10-15) slide PowerPoint presentation to submit to executive leadership and board members outlining and describing your recommended change. Include the following criteria:
- Be creative in your design so that is appealing to others.
- Ensure that all of the MAJOR points of the plan are covered.
- Create bulleted speaking notes for your presentation to the shareholders in the Notes section of the PowerPoint. Note: You may create or assume any fictitious names, data, or scenarios that have not been established in this assignment for a realistic flow of communication.
- Use a professional technically written style to graphically convey the information.
- Create a video of yourself presenting the presentation to key stakeholders. Note: View the “Creating a Presentation for Your Course” playlist, located here for tutorials on creating and submitting video assignments.
Section VI: References: Utilize good scholarly research skills and writing skills to develop a solid change plan and presentation.
- Use at least ten (10) quality academic resources in this assignment. Note: Wikipedia and other similar Websites do not qualify as academic resources
- Write clearly and concisely about managing organizational change using proper writing mechanics.
The specific course learning outcomes associated with this assignment are:
- Evaluate the reactions to change including identifying signs of resistance and approaches to managing it.
- Evaluate strategies for communicating change.
- Use technology and information resources to research issues in managing organizational change.
- Write clearly and concisely about managing organizational change using proper writing mechanics.
- Evaluate strategies for communicating change.
Assignments that where done
Company Is WELLS FARGO
In 1852, Henry Wells and William Fargo founded Wells, Fargo & Co. to serve the West. The new company offered banking (buying gold and selling paper bank drafts as good as gold) and express (rapid delivery of the gold and anything else valuable ). Wells Fargo opened for business in the gold rush port of San Francisco, and soon Wells Fargo’s agents opened offices in the other new cities and mining camps of the West. In the boom and bust economy of the 1850s, Wells Fargo earned a reputation of trust by dealing rapidly and responsibly with people’s m oney. In the 1860s, it earned everlasting fame — and its corporate symbol — with the grand adventure of the overland stagecoach line. ( History of Wells Fargo. (n.d.). Retrieved April 15, 2018, from https://www.wellsfargo.com/about/corporate/history/ ) This company was chosen for my assignment paper, because this is the company where I am currently employed. This company has been through drastic changes in the past few years , in regards with the business, employees and more. Wells Fargo is a coming that has a strong belief in teamwork, giving back to the community and making sure that the Wells Fargo brand is branded very well. Human Resource Program, Policies, Procedure, Or Initiative Resea rching Wells Fargo Program, Policy and Procedures The policy that did stick out the most while researching is the Organization Human Resource policy based on Benefits. Based on information gathered from Wells Fargo and other companies that I have researche d Wells Fargo is one of many companies that offer benefits, but Wells Fargo benefits do not go into
Assignment 1: Selecting a Company effect as soon as employment start. Most Companies, such as Verizon, Hospitals, and some property management companies benefits start of the day of employme nt. According to the policies, and procedures, it states that the effective date of coverage under the Wells Fargo & Company International Plan will be communicated to you in the enrollment materials you receive when you become eligible for the plan. Gene rally, coverage becomes effective the first of the month after the effective date of the applicable international assignment agreement (if the effective date of the agreement is the first of the month, coverage is effective the first of that month) provide d that the due date and you have submitted the required enrollment paperwork have been in a benefits eligible position for one full calendar month. (Wells Fargo Benefit Hand Book) Hypothesize the changes that require improvement. Wells Fargo should consider changing this policy. If this policy changes it will benefit the company incredibly , Reason being is that if an employee coming in as a new hire and has a preexisting condition and has to have medication, treatment, or therapy monthly that will be an inconvenience for the employee because he/she will have to come out of pocket for that month of treatment, therapy, or medication.
Wells Fargo was founded by William Fargo and Henry Wells to serve people in the west. The company started by buying gold offering express services for delivering gold. The company prospered in the 20th century as it earned a good reputation from its customers due to its loyalty and attention to them. Wells Fargo Bank is an American global company offering banking and financial services. The companies headquarter is located in San Francisco. Wells Fargo is among the biggest banking companies worldwide operating across thirty – five countries with 8,700 branches. With that extension worldwide, it has over seventy million customers. The company leads with the highest number of employees, the company’s number of employees both part – time and full – time during 2017 w as 239 836 (Brown & Worthington, 2017). The human resource of Wells Fargo has strategized in a way that it ensures inclusivity and diversity. The human resource department has a policy that adheres to the regulation and federal laws on acts of sexual hara ssment, racial discrimination and workplace abuse which are included in The Age Discrimination Act, The Americans with Disabilities Act and The Civil Rights Act. The human resource refers to the Acts when handling cases of staff compensation, leave of abs ent and involuntary terminations. Of the major legal issues facing the company are deposits, lending, information, and insurance sharing. To avoid losses in the company, the human resource should come up with a strategy to educate their employees regarding work, customer and employee information and the best method to protect and dispose of such information. Another change that should be implemented is an all through communication on recommended insurance retail and lending practices to be granted to all st aff members in the organization. The organization lacks a policy that clearly addresses the issues of the language barrier, cultural practices, and norms which leads to misunderstanding considering that they
DIAGNOSING CHANGE operate in different countries worldwide (Versc hoor, 2016). The company ought to address the issues by coming up with a global human resource strategy that takes into the context of the political, cultural, and legal environment. Another way to make sure the issues of multiculturalism is understood, th e company has to use the polycentric staff model that calls for a large number of citizens from host countries to work in the company. Currently, there is no defined HR strategy that looks into the issue of compensation, cost of living and working conditio ns. The managers have to establish how the executives who take overseas assignments have to be compensated. Wells Fargo recently lacks a defined strategy to hire and train employees. Lack of hiring qualified and required and training employees has cost the company a lot o0f fine such as the recent malpractice where employees created over 2.1 million credit card accounts and phony deposit for the unaware customer. The recommended policy and way to approach the issue is customizing the hiring, training firing and compensation processes in each country. The Human resource department has to ensure that it hires valuable candidates, invest in training programs focusing more on employee ethics. It will benefit the company to realize factors that lead to workers re tention and through these programs, the workers are motivated towards working hard to achieve the defined objectives. In the long term, the company will be reducing cost by focusing on quality. Wells Fargo has been involved in a scandal that has led to he avy penalization. The scandal made the investors lose trust in the company’s behavior and leadership thus pushing for management change. The first reason that gives a purpose for the management change is that the inventors need leadership that they can bel ieve in. cross – selling is a growing scandal that occurs at the board and management levels. The stock price of the company fell by 4.3% after the scandal while other companies such as Bank of America posted gains of more than 7%. The
DIAGNOSING CHANGE second reason for the company recommending retirement of their four top executives is following the size restriction of the company by the Federal Reserve. The Office of the Comptroller of the Currency a banking regulator finalized their enforcement action on Wells Fargo due to it risk control (Verschoor, 2017). Another reason that led to management change is lack of effective management that with improper communication from top management to down management (Metz, 2017). An organizational diagnosis is an effective tool that looks to determine the major gaps between the current and the previous leadership and how the change will be conducted. The first communication strategy that will ensure change in management in Wells Fargo will be implemented is not emphasizing the change. The company is looking to prevent a scandal from occurring again thus has to be frank on what and who transpired the misbehavior. Wells Fargo ought to critically examine who was involved and suspend them and be keen on individuals who may influence such a scandal in future. The company needs to list the new names onto its ranks of the board to show that it is really cautious of such scandal from happening again. Another diagnostic tool that will determine if the organization is ready for change is the alig nment of language. The company’s board of management ought to speak of what is expected of every employee. This will occur after Wells Fargo has replaced its top four executives (Verschoor, 2016). The reason why I recommend the diagnostic tools is that it shows that the company is on a move to a new leadership and assures investors that such scandal will not happen again. The implementation of change will improve the performance of the bank where its stock price had fallen by 4% percent as the investors w ill remain their trust in the company. The company has used emphasizing tool as a way to make sure that the implementation plan is effectively executed. The company order for of its topmost executives to retire and it has
DIAGNOSING CHANGE promised to replace them with dedi cated members. The company has also stated that it will continue implementing considering staff with long – term experience with those who have a new perspective on the organization. The organization has for long been known as a well – run and highly profitab le company but its reputation was ruined by its company’s misconduct where they created over two million phony accounts without customer’s authorization(Metz, 2017). The company is likely to get its reputation back where it will focus on rectifying their flaws in the management and the board level. The company will be able to sell more products than before as the investors will trust the company. The employees will be familiar with their expectation and how to realize how misbehavior can lead to their job termination and cost the company’s reputation impairing it’s functioning.
According to Hon, Bloom, and Crant, (2014), William Fargo, and Henry Wells in 1852 founded the Wells Fargo & Co. the purpose of the company was to offer the banking services to the west. The primary activity for the bank was buying the goods and selling the bank paper draft as the gold; they also deliver an ything valuable such as gold rapidly. The Wells Fargo started a business in the port San Francisco, soon after that, the agents of the Wells Fargo opened their offices at the new cities targeting the West camps. The bust and the boom of the economy in the 1850s made the business very reputable since it was dealing responsibly and rapidly with peoples’ money. By the 1960s the company had earned long – lasting together with the corporate symbols (Brown, and Worthington, 2017). Wells Fargo has been able to ma intain the marketplace, and even in the modern times it stills hold the reputation of and the fame it had since 19th and 20th Century, the company has a culture that is very flexible and can adapt to any environmental change today. For instance, the presen t rapid technology of communication and the social changes, the Wells Fargo has been so attentive to the customers need and doing the business to realize great success. Wells Fargo is an American Corporation with the headquarter situated in San Francisco ( Brown, and Worthington, 2017). The purpose of the bank is to offer the west business and agricultural growth. For instance, film industry, aerospace, and fledging auto among others. Wells Fargo is a big corporation with its operation extending to over 35 c ountries, and the branches are approximately 8,700. In 2017, the total number of the company’s employees both the full time and part tie were 239, 836 (Verschoor, 2016). The Wells Fargo human resource has laid down the strategies which are aiming at the diversity inclusivity. The policy of the human resource adheres to rules and the federal regulations on the
KOTTER CHANGE MANAGEMENT MODEL 3 sexual harassment acts, the racial segregations and the abuse of the workplace among others. Are comprise in the Act of the age discriminations, th e Act of Civil rights and the Act for the American. The Wells Fargo human resource make references to the above acts when dealing with the issue of compensating the staff, involuntary employment termination and the absent leaves (Brown, and Worthington, 20 17). The key factors facing the Wells Fargo organization has to do with the lending, deposits, sharing insurance and the information. The information should be able to develop the techniques of ensuring that they offer the employees with the best training techniques with relation to the working environment, the report of the employee and the customers to avoid losing more customers (Verschoor, 2016). The wells Fargo organization should come up with the strategy of ensuring that the employees and the sta ffs are having the better communications concerning the insurance, and the practices of lending which is supposed to be used by the members of staffs. In their provision of services in diverse part of the regions (Hon, Bloom, and Crant, 2014). The Wells Fa rgo company should be able to mitigate the international issues in relations to human resources global strategy. The human resource comprehensive strategy aims at legal, problems in the environment, cultural and the political factors (Verschoor, 2016). The next strategy which ensures that there is understanding of multiculturalism; is through the staff model which allows a significant number of citizens. Both from the country and internationally to make applications concerning working for the Wells Fargo Corporation (Brown, and Worthington, 2017). Wells Fargo currently lacked the strategy which is well defined which could assist with the employees hiring and the training techniques. Such lack of proper hiring has resulted in the company losing vast amount s of funds through the fines because of the employee’s malpractice where they created credit cards over 2.1 million accounts for
KOTTER CHANGE MANAGEMENT MODEL depositing for the customers unaware. The policy recommendation for such kind of issue is through customizing the approach of h iring, firing training and the process of compensating in each nation. The Wells Fargo had to ensure that the persons hired are a valuable personality (Verschoor, 2016). The human resource should, therefore, invest in the adoption of the training techniqu es which are useful for ensuring that employees are more oriented towards the work ethics. According to Hon, Bloom, and Crant, (2014), the Wells Fargo Company will stand out to be the beneficiary if they can adopt and maintain the worker’s retention us ing such kinds of programs. In the long run, the employees are motivated to achieve the objective of the company. Hence, the Wells Fargo will be able to focus on the quality of the products even as they reduce the costs of productions. The Wells Fargo has been involved in some form of scandals which resulted in massive loss of funds by the stakeholders due to substantial penalties, that scandal made the stockholders lose their trust in business which called for immediate change and restructuring. Among the transition, reasons are that the investors and inventors need the leadership style which is trustworthy, and they can believe with their investment. The cross – selling are enlarging their scandal occurring at the management and board levels (Brown, and Wor thington, 2017). The price of the stock dropped massively by about 4.3 percent following the scandal while other businesses like the American Bank gains over 7 percent. The Wells Fargo Company also recommended the four top – level executives to retire after the federal reserves restricted the size of the company. It resulted in the change of management with lack of effective communication from the top management to the subordinate staffs (Verschoor, 2016). The diagnosis of the organization is an essential too l when it comes to the determination of the significant gaps existing between previous leadership blood and the current change that is
KOTTER CHANGE MANAGEMENT MODEL 5 needed. The first strategy of communication that will be conducted by the Wells Fargo for implementation is not related t o change. Wells Fargo Company is looking forward to preventing the further scandal from occurring. Therefore, the company had to be transparent with that group of persons that were responsible for the mischief (Verschoor, 2016). The company had to critical ly analyze the persons involved and come up with a way of suspending them and further observation of the persons who could avoid future scandals. Wells Fargo Corporation should come up with a new list of names as an indication of consciousness concerning t he future occurrence. The next tool for diagnosis is analyzing the language of the company to check whether they are ready for a change. The board of management for the Wells Fargo should be able to speak one language of the employee’s expectations. That will take place after replacing the four – leading management of the Wells Fargo. The reason for the recommendation of the new diagnostic tool is because the company is moving to the next level of leadership whereby are assuring the stakeholder and investors that there will be no further scandalous incidence of occurrence (Hon, Bloom, and Crant, 2014). Implementation of the change would imply that the company will be able to improve regarding performance, and the previous fall in the price of the stock by 4 percent will rise again since the investors will be trusting in the company. Wells Fargo is using the tool for emphasizing to ensure that the implementation is executed appropriately (Verschoor, 2016). The company will demand the retirement of the four e xecutives at the top level management and replace with members who are dedicated. The reputation of the company will be gained as they are focusing on the rectification of the flaws before the investors. Hence they will be able to make more product sales i n comparison to earlier periods (Brown, and Worthington, 2017).
The causes for resistance to change. Resistance for change is inevitable in even the most successful enterprises. In the modern day, the rate of technological growth and information transmission is exceptionally high and continues to evolve (Bowe et al. 2014). Organization change does not, th erefore, come easy and most change efforts in different entities fail to reach the set objectives. Three fundamental aspects can be assisted with the resistance to change at Wells Fargo, which is the organization under consideration. a) Loss of job secur ity The organization has not established stable policies which assure personnel of their tenures in the respective departments. The chances of employee elimination will be therefore high (Bowe et al. 2014). Change hence, makes employees feel intimidated in the entity, for fear of loss of work. b) Poorly aligned reward systems Management has for a long time, been accused of getting what they want. Organizational stakeholders, on the other hand, are bound to resist organization change where rewards are not realized (Bowe et al. 2014). Lack of proper reward systems leads to loss of motivation, which makes teams at Well Fargo fail to support a change in the organization. Intrinsic rewards, for example, are powerful motivators for personnel. c) Organizational politics In most cases, personnel end up resisting change considering their need always to prove that the organization decision made is wrong. The staff may also be involved in resistance to frustrate management change efforts. Therefore, there is a need t o proactively counter such incidences, and acknowledge positive steps, as well as work with personnel to achieve goals rather than react.
ASSIGNMENT 4 : RESISTANCE AND COMMUNICATION Potential sources of resistance to your change plan. The most common source of change resistance is self – interest. I n most cases, some individuals feel that the change may interfere with their vested interests in the entity. This, in turn, leads personnel to act against a strategic change effort within Wells Fargo (Fisher, 2011). Another source of resistance to change i s associated with lack of trust. The lack of understanding and confidence costs the organization more than it is likely to gain. As a result, management and employees continuously conflict especially in decision implementation, which drags the entire orga nization processes and success initiatives. Finally, another source of resistance in Wells Fargo is the low tolerance for change in the organization (Fisher, 2011). In most case, personnel and management remain reserved and very conservative and are not o pen minded to continually evolving trends especially in the modern business context. Plan for minimizing possible resistance to your change management plan The first step involves the provision of information in advance. This way, employees will have inf ormation on proposals made, and will not feel left out in the process. The second step is to encourage workforce participation in establishing the change. Thirdly, there is a need to guarantee against losses, which are inevitable within the institution. Bu ilding trust and allowing for negotiation should follow, which provides an environment of flexibility at work, and reduced pressure (Fisher, 2011). The relationship between resistance to change and communication
ASSIGNMENT 4 : RESISTANCE AND COMMUNICATION 4 Communication is one of the most critical issues in every organization. No organization can exist without communication effectiveness. Effective communication can mitigate employee resistance to change, through essential components which need to interwork perfectly. The first aspect is integrity a nd authenticity, coupled with trust among the personnel and the management teams (Greenberg & Baron, 2013). Communication helps management to mitigate resistance, through permanent engaging staff in decisions and strategic plans. Without communication, opp osition remains high. With adequate and effective communication, resistance to change is mitigated more effectively. Communication strategies Communication strategies include; verbal, visual and nonverbal communication strategies. The three can be integr ated to meet the objectives of the business and meeting the needs of personnel thus increasing workplace efficiency and knowledge. Verbal communication strategies include both written and oral communication. Nonverbal communication strategies include; faci al expressions, body language, and voice tone, which can be used to pass different messages (Greenberg & Baron, 2013). Visual communication strategy, on the other hand, includes the use of web pages, signs and illustrations. They are common where there is a need to draw attention and for the sake of providing documentation as well. Recommended communication strategy The best communication strategy for Wells Fargo is verbal communication strategy, explicitly focusing on oral communication. Meetings will work quite well especially since feedback will be
ASSIGNMENT 4 : RESISTANCE AND COMMUNICATION obtained immediately (Greenberg & Baron, 2013). This way, the strategy will work well for the organization as all delays will be done away with, and the best course of action implemented more promptly. Communication plan for the change initiative Communication objective The objective of the program is to improve performance in the organization, foster team development, and facilitate updates, to focus on inclusion for all stakeholders, decision makers, a nd personnel in Wells Fargo. Audiences Stakeholder groups focused on, in this initiative include; consumers, personnel, management and shareholders (Kraut et al. 2010). Key message The primary purpose of the organization is to deliver exemplary services to all consumers, while upholding quality in the process, and enhancing inclusivity for the use of strong cohesion, and building a healthy organizational culture of unity. Communication constraints The primary issue that may come up involves the diversi ty in operations considering the numerous operational locations (Kraut et al. 2010). However, virtual teams will be monitored throughout the program rollout. Communication approach